Changes to Angus beef definition set to benefit Australian cattle producers
Selling Brangus at the Sarina cattle sale could get easier for auctioneer Olivia Whitehead. (ABC Rural: Liam McNally)
In short:
Beef must come from cattle with at least 75 per cent Angus genetics to use the brand when sending meat overseas.
AUS-MEAT will redefine the description to include meat from animals with 50 per cent genetics, creating new opportunities for northern and dairy cattle producers.
What's next?
The framework is being reviewed by the federal government and is expected to be approved in the next few weeks.
More Australian farmers will be able to brand their beef as Angus for export under changes to meat definitions.
Beef must come from cattle with at least 75 per cent Angus genetics to qualify for the brand when sent overseas.
But the industry has agreed to drop that requirement to 50 per cent, creating new opportunities, especially for northern and dairy cattle producers.
While it is unlikely to change much for Australian consumers, it could help address significant challenges for the livestock industry.
Defining Angus
What qualifies as Angus beef is defined by AUS-MEAT, an industry-owned not-for-profit that provides auditing and certification standards across the supply chain.
Its language and standards committee has representatives from the beef, lamb and pork industries, as well as the government, processing and retail sectors.
They control trade descriptions, essentially the dictionary for exporters and their customers to ensure the words used to describe meat products — such as grass-fed, sirloin or Angus — have standard meanings.
Farmers bid for Brangus cattle at the Sarina cattle sale near Mackay. (ABC Rural: Liam McNally)
AUS-MEAT Limited chairman Allan Bloxsom said the new framework for Angus was developed after interest from a major meat exporter.
"This has been a long time in the making … because we worked through 50 per cent breed content standards for both Wagyu and Herefords quite some time ago,"he said.
"Whenever an exporter wants to make a claim on a product that's exported out of the country, they have to have a quality assurance programme in place.
"[It ensures] that the product meets the requirements or the statements made."
The framework only applies to exports, and is aimed at the US market, where a 50 per cent Angus beef grade already exists.
AUS-MEAT sets out the definitions of meat product terms, like those used in this poster. (Supplied: Meat & Livestock Australia Limited/ AUS-MEAT)
The standards often filter through to the domestic market, but Mr Bloxsom said higher grades would continue to be available both here and overseas.
"The 100 per cent and the 75 per cent Angus programs have been very, very successful, and they will remain untouched," he said.
Consumer quality
Angus Australia represents cattle breeders and also runs its own branding and verification programs.
Scott Wright does not expect much to change for Australian consumers. (Supplied: Angus Australia)
Chief executive Scott Wright said the breed was recognised for its high marbling and meat quality globally, so it made sense processors would want to capitalise on its popularity.
"We get great premiums for Angus products overseas, so they'd be looking to label appropriate to whichever market they're going to,"he said.
"I think that does flow through our domestic market."
Mr Wright said it was unlikely the 50 per cent grade would be sold in Australia, but even if it was, he expected domestic consumers would stick to the higher grades.
"Australians, when they're eating out or buying in a retail environment, they want the best quality product they can get," he said.
"I just can't see the demand for a 50 per cent product domestically."
Southern cash cow
Angus Australia estimates more than half of the nation's cattle herd has been influenced by Angus genetics, but its Scottish heritage makes it unsuited to the north, where the vast majority of the country's beef herd is produced.
Margot Fordyce hopes the new framework will make her Brangus cattle more valuable. (ABC Rural: Liam McNally)
The dominant species there is Brahman, valued for its tick and heat resistance.
In the largest beef state, Queensland, producers like Margot Fordyce opt to mix the two — using Brangus or Ultrablack crossbreeds that combine heat resistance and high meat quality.
Her family has invested in Angus bulls for their 3,000-head herd west of Mackay, but they keep their influence low due to the tough conditions.
"Because we live north of the Tropic of Capricorn, we have to walk that very fine line of keeping some Brahman content for the dry times and for the hot days,"she said.
Ms Fordyce said the new framework had the potential to raise the value of her herd without changing her operation or breeding program.
"The more income we can make, the better it is for our family and the better opportunity it might give us down the track to expand," she said.
Simon Quilty expects crossbred cattle will fetch higher prices when the new framework is implemented. (Supplied: Simon Quilty)
It is estimated cattle with Angus genetics can attract between 6 and 15 per cent higher prices than those without, a "huge opportunity" for producers, red meat analyst Simon Quilty said.
"That is what's so exciting for a Queensland operator, is the access into that Angus market which was once the privilege of those in the south," he said.
"The price incentive will be there if the regulations and the specifications are finalised hopefully within the next few months."
Dairy dilemma
Lifting the value of crossbred Angus cattle could also help the dairy industry manage the controversial practice of slaughtering male bobby calves.
Industry-owned research corporation Dairy Australia estimates 1 million calves are born each year in order for cows to keep producing milk, but almost 60 per cent of those are "surplus" to industry needs.
Brangus cattle for sale in Sarina, near Mackay. (ABC Rural: Liam McNally)
With little market value, those calves are slaughtered within a month of birth or euthanased on farm, a practice the industry hopes to eliminate by 2035.
Animal health and welfare policy lead Louise Sundermann said Angus crossbreeds were already favoured by farmers, but few made it into the beef supply chain.
"Anything that will help increase the interest and the value of beef from the dairy industry is great," she said.
"When the price is good, the number of bobby calves slaughtered goes down."
Mr Boxsom said that had proven to be the case overseas.
"In the United States, that particular part of the business has been growing very rapidly," he said.
"I can see the same opportunities here."